October 17, 2005
Venezuela to fully join Mercosur

(BBC News) - "Venezuela is to become a permanent member of the South American trade bloc Mercosur. The country's addition would be formalised in December, said an official from Uruguay, the current president of the bloc.

The Venezuelan government welcomed the announcement, saying its membership would strengthen Mercosur. Venezuela is the world's fifth largest oil producer, and soaring crude prices have helped boost its economy.

The country - which also has the region's largest natural gas reserves - has sought to deepen energy ties with other South American nations.

'This is something that is historic for us. We are going to work very hard,' President Hugo Chávez told reporters during the summit of Iberoamerican leaders in Spain.

Mercosur was founded by Argentina, Brazil, Uruguay and Paraguay in the 1990's. Venezuela - along with Peru, Bolivia and Chile - currently holds associate member status.

This blocks it from participating in many important Mercosur tariff agreements. As a full member, Venezuela will adopt Mercosur's common external tariff".